The Group adjusts its range for 2015 net recurring income Group share, following the review of the period of unavailability of Doel 3 and Tihange 2

Electrabel, GDF SUEZ’s subsidiary, announced today that the period of unavailability of Doel 3 and Tihange 2 Belgian nuclear plants is reviewed to November 1st, 2015 in accordance with its transparency obligations. This update follows the details communicated by the Federal Agency for Nuclear Control in the context of the review process about the reactor vessels of Doel 3 and Tihange 2.

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The impact from the outage of these two plants on the net recurring income Group share is estimated at approximately EUR 40 million per month.

The Group adjusts accordingly its range for 2015 net recurring income Group share[1] by EUR 0.15 billion, corresponding to four additional months of outage, with a range between EUR 2.85 and 3.15 billion[2], assuming average weather conditions in France. This target is based on estimated EBITDA and current operating income[3] respectively between EUR 11.55 and 12.15 billion and EUR 6.65 and 7.25 billion.

In addition, the Group confirms:

• a net debt/EBITDA ratio less than or equal to 2.5x and an “A” category rating;

• a 2015 dividend with a 65-75% pay-out[4], with a minimum of 1 euro per share, payable in cash. The Board of Directors has decided upon the principle of an interim dividend of EUR 0.50 per share for financial year 2015 that will be paid on October 15, 2015.

Appendix : Electrabel press release dated May 13, 2015

Period of unavailability of Doel 3 and Tihange 2 reviewed
In accordance with Electrabel transparency obligations, Electrabel informs that the period of unavailability of Doel 3 and Tihange 2 is pushed to November 1st, 2015. This update follows the details communicated by the Federal Agency for Nuclear Control in the context of the review process about the reactor vessels of Doel 3 and Tihange 2.
The FANC has confirmed that it will, together with its technical subsidiary Bel V, analyze the safety case using the specific expertise of the recognised inspection organisation AIB Vinçotte (for the theme « Ultrasonic inspection techniques : detection, measurement and location of hydrogen-induced flaw indications »), of the International Review Board (for the theme « Material properties of specimens containing hydrogen flakes: radiation effects and transferability of the test results to the Doel 3 and Tihange 2 reactor pressure vessels ») and of an external research team (for the theme « Structural integrity of a reactor pressure vessel containing hydrogen flakes »).

The FANC will collect opinions from all these parties and take them into account to decide whether Electrabel is allowed to restart the Doel 3 and Tihange 2 units. FANC estimates that this process will take another few months.
Based on these elements, Electrabel considers that the period of unavailability has to be reviewed and therefore has updated the information for the market through the GDF SUEZ Transparency website.

As a reminder, in the context of the review process about the reactor vessels of Doel 3 and Tihange 2, Electrabel has taken the initiative to put on hold the two reactor vessels on March 25th, 2014. Since then, the company has mobilized a strong expertise, internally within the ENGIE Group as well as externally, in order to carry out more than 1500 tests on samples. A hundred people are involved in the process, amongst which about twenty international experts. These works represent a world first in the nuclear industry. The next step now consists in preparing a safety case. In order to explain the exact scope of the safety case, Electrabel will communicate in all transparency on the tests that have been carried out, once the file has been submitted to the authorities.
Electrabel reminds that the decision to restart relies on the FANC.

[1] Net income excluding restructuring costs, MtM, impairments, disposals, other non-recurring items and associated tax impacts and nuclear contribution in Belgium. This target assumes average weather conditions in France, full pass through of supply costs in French regulated gas tariffs, restart of Doel 3 and Tihange 2 as of November 1st, 2015, no significant regulatory and macro-economic changes, commodity price assumptions based on market conditions as of December 31st, 2014 for the non-hedged part of the production, and average foreign exchange rates as follows for 2015 : €/$ : 1.22, €/BRL : 3.23.

[2] The initial range based on a restart on July 1st 2015 was between EUR 3.0 and 3.3 billion

ENGIE develops its businesses (power, natural gas, energy services) around a model based on responsible growth to take up today’s major energy and environmental challenges: meeting energy needs, ensuring the security of supply, combating climate change and optimizing the use of resources. The Group provides highly efficient and innovative solutions to individuals, cities and businesses by relying on diversified gas-supply sources, flexible and low-emission power generation as well as unique expertise in four key sectors: independent power production, liquefied natural gas, renewable energy and energy efficiency services. ENGIE employs 152,900 people worldwide and achieved revenues of EUR 74.7 billion in 2014. The Group is listed on the Paris, Brussels and Luxembourg stock exchanges and is represented in the main international indices: CAC 40, BEL 20, DJ Euro Stoxx 50, Euronext 100, FTSE Eurotop 100, MSCI Europe, ASPI Eurozone, Euronext Vigeo Eurozone 120, Vigeo World 120, Vigeo Europe 120 and Vigeo France 20.

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